Data breaches have become one of the biggest threats to the health of a business. Recent data breaches in which thousands of records containing personal and financial customer data have headlined with news organizations across the United States and around the world.
Here’s how such breaches can impact a business and how you can protect yours against cyber attacks.
The Impact of a Data Breach on a Business
According to Ponemon Institute's 2016 Cost of Data Breach Study, "The biggest financial consequence to organizations that experienced a data breach is lost business. Following a data breach, organizations need to take steps to retain customers’ trust to reduce the long-term financial impact.”
Private information that could supply bad actors with the tools to fraudulently open accounts and steal identities have been taken from the improperly secured databases of retailers and other organizations, creating a public relations nightmare. Companies have suffered millions of dollars in lost business as well as the loss of public trust.
The Boards of Directors of major corporations are paying attention. Over the past few years, several high-profile CEOs have been forced out or faced disciplinary action due to the perception of inadequate protection against a major data breach along with a poorly received response:
- Target: CEO, President, and Chairman Gregg Steinhafel resigned after the retailer’s data breach in 2013.
- Home Depot: CEO Frank Blake retired shortly before the company's high-profile data breach occurred in 2014.
- Sony: CEO Amy Pascal was fired for her handling of Sony’s December 2014 data breach.
- Yahoo!: CEO Marissa Mayer denied her bonus and stock awards for 2017 due to her handling of the 2016 data breach.
How can you protect your business from a similar crisis?
Request Proof of Vendor Security Certification
Your security efforts must also encompass third-party applications and subscription tools used in your everyday operations. For every application you license, ask the vendor for information about its security policies and measures.
For example, ROI Selling’s information security policies and practices reduce the risk of a data breach for our clients. To show our commitment to information security, we take steps to assure them of the security of our solutions.
ROI Selling is currently undergoing a SOC 2 Type II information security audit. SOC stands for Service Organization Controls, a series of standards that help measure the ability of a specific organization to control its information.
SOC 2 is the set of standards covering the internal controls in place at a third party service organization, such as ROI Selling and other software solution vendors. A SOC II Type 2 audit concerns the policies and procedures that have been in operation for at least six months.
SOC II Type 2 Certification shows that a company’s system is designed to keep sensitive client data secure.
ROI Selling Is Serious about Cybersecurity
ROI Selling’s security layers are built around these important areas:
- Access Control
- Network Security
- Operational Security
- Application Security
- Data Center
- Backup & Recovery
- Incident Response
When we receive our SOC II Type 2 Certification our clients will know that our solutions keep data secure and pose no risk to their customer information.
Information security should be the highest concern of any IT organization. Nearly every piece of information a company has is stored electronically in databases and other software applications that are connected to the Internet.
Without the proper safeguards, the question isn't whether, but when a data breach will occur, eating into your revenue, causing untold harm to your brand, and potentially bankrupting your business.